M&A Valuation: How to Determine the Sale Value and/or Purchase Price of a Bank

M&A Valuation: How to Determine the Sale Value and/or Purchase Price of a Bank

While every successfully-negotiated M&A transaction requires mutual agreement between buyers and sellers on a host of transaction terms, deal pricing is the topic that typically requires the most attention and discussion. Accordingly, this session will provide insights and best practices for determining deal pricing in a bank M&A transaction. The content will be particularly informative for potential sellers looking for a better insight on what their sale value is, how buyers actually determine price, and what steps may be taken to increase sale value. Conversely, the session will also be helpful for would-be buyers looking for greater expertise and precision in determining acquisition pricing.

We will specifically discuss:

• Current and anticipated bank M&A valuations
• The impact of AOCI on pricing
• Why using transaction multiples is a blunt object, at best
• What factors add to - and detract from - a bank’s sale value
• Acquisition valuation methodologies and best practices